Hong Kong/China Report
Contributed by Paifang Limited
04 March, 2020
Business in China is still on the optimistic side despite recession in global economy. In order to cope with the changing world, entrepreneurs must adapt by increasing the skills of their labour, adjust their business strategy etc.
Chinese government is also putting every effort to reduce the barrier for doing business in China, but at the same time increasing the regulation to enhance trust among the international markets.
The execution of the Belt and Road policy, together with the development of the Greater Bay Area, China is now opening up to the world. Major cities in China eg. Beijing, Shanghai, Hong Kong, Guangzhou etc. will have more opportunities to develop their global economic exchanges.
Hong Kong is an international hub for innovation and technology. We have entrepreneurs from every corner of the world. The Hong Kong government establishes fair and just platforms to encourage business here. As an international financial centre and a free trade port, Hong Kong is reputable for its open markets and a good legal system. Doing business in Hong Kong is always easy and straight forward.
Hong Kong imposes income tax on a territorial basis. This means that generally income is taxed in Hong Kong only if it arises in or is derived from Hong Kong. Hong Kong does not currently impose any estate duty and payroll, turnover, sales, value-added, gift or capital gains taxes. Foreign-sourced income is not taxed even if it is remitted to Hong Kong. Dividends from companies that are chargeable to Hong Kong profits tax are generally exempt from profits tax or not subject to withholding tax in Hong Kong. Dividends from foreign companies are generally regarded as offshore and not subject to profits tax.
The procedure for setting up a Hong Kong company is simple and uncomplicated. Paifang Limited, being an experienced service provider as well as a licensed Trust/Company Service Provider in Hong Kong, could assist in this matter so all procedures will be handled for you. Not only company formation, Paifang also assists in a wide range of corporate services such as corporate bank account opening, trademark registration, accounting and audit, tax planning etc.
More information relating to corporate services of Paifang can be found by visiting http://www.paifanghk.com. Just drop a line if you are interested or have any enquiries by email (email@example.com), telephone (+852 2862 9000) or Skype (id: paifanghk)!
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